AI Data Centers Raise Water, Environmental Concerns Across US States

The rapid expansion of AI data centers across the U.S. and U.K. is raising significant environmental concerns, particularly regarding water consumption and its impact on local resources. In Tucson, Arizona, a $3.6 billion data center project backed by Amazon Web Services threatens the revival of the Santa Cruz River by potentially depleting groundwater despite claims of being 'net water positive.' Similarly, in Michigan, a University of Michigan-led data center has sparked fears about water contamination and electricity rate hikes, though the university insists it will source and discharge cooling water responsibly through utilities. In the U.K., a government-commissioned report warns that AI data centers' high water demand, combined with population growth, will drive up water bills by 30% over five years and exacerbate regional water stress. New Jersey legislators have introduced a bill requiring AI data centers to report water and electricity use to address resource strain, but it faces opposition from business groups who argue existing regulations suffice and the measure unfairly stigmatizes data centers. Additionally, global analyses reveal that major tech companies significantly underreport their data centers' emissions, with actual carbon footprints far exceeding official figures, highlighting the environmental costs of the growing digital infrastructure driven by AI workloads.